IHS Reaffirms 2012 Guidance, Provides 2013 Financial Guidance

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IHS

ENGLEWOOD, Colo.--(BUSINESS WIRE)--IHS Inc. (NYSE: IHS), the leading global source of information and
analytics, today announced it is reaffirming its 2012 revenue, adjusted
EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization)
and adjusted earnings per share (EPS) guidance as well as providing its
financial guidance for the year ending November 30, 2013.

Outlook (forward-looking statement)

For the year ending November 30, 2012, IHS expects:

All-in revenue in a range of $1.515 billion to $1.535 billion,
including an organic growth rate of approximately eight percent for
the portion of the business that is subscription-based;

All-in adjusted EBITDA in a range of $480 million to $490 million; and

Adjusted earnings per share (EPS) between $3.77 and $3.89 per diluted
share.

For the year ending November 30, 2013, IHS expects:

All-in revenue in a range of $1.640 billion to $1.710 billion,
including an overall organic growth rate expected to be between 5-7
percent at the midpoint;

All-in adjusted EBITDA in a range of $540 million to $582 million; and

Adjusted EPS between $4.23 and $4.43 per diluted share.

The above outlook assumes no further currency movements, acquisitions,
divestitures, pension mark-to-market adjustments or unanticipated
events. See discussion of non-GAAP financial measures at the end of this
release.

As previously announced, IHS will hold a conference call and webcast
with its senior management team to further discuss 2013 financial
guidance on Wednesday, December 12, 2012 at 8:00 a.m. EST. The
conference call will be simultaneously webcast and related presentation
materials can be found on the company's website at http://investor.ihs.com.

IHS (NYSE: IHS) is the leading source of information, insight and
analytics in critical areas that shape today’s business landscape.
Businesses and governments in more than 165 countries around the globe
rely on the comprehensive content, expert independent analysis and
flexible delivery methods of IHS to make high-impact decisions and
develop strategies with speed and confidence. IHS has been in business
since 1959 and became a publicly traded company on the New York Stock
Exchange in 2005. Headquartered in Englewood, Colorado, USA, IHS is
committed to sustainable, profitable growth and employs more than 6,000
people in 31 countries around the world.

Non-GAAP results are presented only as a supplement to the financial
statements based on U.S. generally accepted accounting principles
(GAAP). The non-GAAP financial information is provided to enhance the
reader's understanding of our financial performance, but no non-GAAP
measure should be considered in isolation or as a substitute for
financial measures calculated in accordance with GAAP.

EBITDA is defined as net income plus or minus net interest plus income
taxes, depreciation and amortization. Adjusted EBITDA excludes non-cash
items, gains and losses on sales of assets, restructuring charges and
other items that management does not utilize in assessing our operating
performance (as further described in the attached financial schedules).
Adjusted earnings per diluted share exclude similar non-cash items as
adjusted EBITDA. None of these non-GAAP financial measures are
recognized terms under GAAP and do not purport to be an alternative to
net income as an indicator of operating performance or any other GAAP
measure.

Management uses these non-GAAP measures in its operational and financial
decision-making, believing that it is useful to eliminate certain items
in order to focus on what it deems to be a more reliable indicator of
ongoing operating performance and our ability to generate cash flow from
operations. As a result, internal management reports used during monthly
operating reviews feature the adjusted EBITDA and adjusted earnings per
diluted share metrics. Management also believes that investors may find
non-GAAP financial measures useful for the same reasons, although
investors are cautioned that non-GAAP financial measures are not a
substitute for GAAP disclosures. EBITDA, adjusted EBITDA, and adjusted
earnings per diluted share are also used by research analysts,
investment bankers and lenders to assess our operating performance. For
example, a measure similar to EBITDA is required by the lenders under
our credit facility.

Because not all companies use identical calculations, our presentation
of non-GAAP financial measures may not be comparable to other
similarly-titled measures of other companies. However, these measures
can still be useful in evaluating our performance against our peer
companies because management believes the measures provide users with
valuable insight into key components of GAAP financial disclosures. For
example, a company with greater GAAP net income may not be as appealing
to investors if its net income is more heavily comprised of gains on
asset sales. Likewise, eliminating the effects of interest income and
expense moderates the impact of a company's capital structure on its
performance.

IHS Forward-Looking Statements:

This release may contain forward-looking statements as defined in the
Private Securities Litigation Reform Act of 1995. Forward-looking
statements are statements that are not historical facts. Such statements
may include financial projections and estimates and their underlying
assumptions, statements regarding plans, objectives and expectations
with respect to future operations, products and services, and statements
regarding future performance. Forward-looking statements are generally
identified by the words "expect," "anticipate," "believe," "intend,"
"estimate," "plan" and similar expressions. Although IHS and its
management believe that the expectations reflected in such
forward-looking statements are reasonable, investors are cautioned that
forward-looking information and statements are subject to various risks
and uncertainties-many of which are difficult to predict and generally
beyond the control of IHS-that could cause actual results and
developments to differ materially from those expressed in, or implied or
projected by, the forward-looking information and statements. These
risks and uncertainties include those discussed or identified by IHS
from time to time in its public filings. Other than as required by
applicable law, IHS does not undertake any obligation to update or
revise any forward-looking information or statements. Please consult our
public filings at www.sec.gov
or www.ihs.com.